Intel Chairman and tech visionary Andy Grove…predicted that the software and services industry is about to travel the well-worn path of the steel and semiconductor industries. Steel’s market share dropped from about 50 percent to 10 percent in a few decades. U.S. chip companies saw theirs shrink from 90 percent to about 50 percent today. Now the writing is on the wall that software could suffer the same fate, said Grove, whose 1996 bestseller was titled “Only the Paranoid Survive.”

Read the rest of the gloom in The Mercury News.

What do you think? Will it get that bad? Is it on its way already?

Update: According to Wired there maybe some positive movement in the job market taking place.